Help! Landlord wants to raise rent after 1 year - is this legal?

[benbecker]

I've been renting an apartment in one of the public housing buildings for the past year. As I understood, the contract set the rent for two years, but now the apartment owner wants to raise the rent by $2000. Is this legal in HK? I had thought that the contract was for two years, and that I could break the lease at any time in the second year.

Does anyone have experience with this sort of situation?

[Oldtimer]

What does your lease say? If either party can break the lease , then the Landlord can raise the rent or terminate your lease

QUOTE=benbecker;2253802]I've been renting an apartment in one of the public housing buildings for the past year. As I understood, the contract set the rent for two years, but now the apartment owner wants to raise the rent by $2000. Is this legal in HK? I had thought that the contract was for two years, and that I could break the lease at any time in the second year.

Does anyone have experience with this sort of situation?[/QUOTE]

[jimbo]

Is subletting in public housing even allowed?

[cupcakelover]

Depend on your lease, but yes they can do it, I have the landlord called me up the day the clock tick pass 12 months, asking for more rent by 10k, we said no, and that we would moved out. The landlord later come around and asked us to "please stay and complete your 2 year terms" so it is also possible that they are just testing you. (in our case we were ready to move if she really want us out and explore other area of Hong Kong )

[carang]

don't think subletting in public housing is allowed....i would be absolutely shocked if it was.

[Raccon]

I've been renting an apartment in one of the public housing buildings for the past year. As I understood, the contract set the rent for two years, but now the apartment owner wants to raise the rent by $2000. Is this legal in HK? I had thought that the contract was for two years, and that I could break the lease at any time in the second year.

And so can the landlord, assuming you have the standard agreement. He is now trying to bully you into accepting a higher rent or invoking his right to terminate you.

Get some facts on subletting in public housing, if it isn't allowed you may have some leverage. But do prepare to move if you are not willing to pay the higher rent.

[wtbhotia]

the 1st year is fixed but the 2nd year is optional, either party can give 1 or 2 months notice depending what was agreed at signing of contract, if you dont agree to the rent increase after the 1st year the LL can ask you to leave, this is the time you start negotiations with them. Luckily for me my LL has always stuck with the same rent for every 2 year contract, not all are like this, my next door neighbor in a duplex has had her rent increased every year.

Public housing can only be rented out if the person has actually bought the flat from the govt and pays the difference to the govt.

My mother in law bought her flat from the govt but is not allowed to rent it out or sell it unless she pays the difference in value as if it was a private sale. not sure if my explaining is coming out right

[dragon_simon]

Is subletting in public housing even allowed?

My Aunt in Shatin have bought their allocated 'public housing' on the cheap a while ago for around $500k...I believe you have to meet certain criterias before you become elligible to buy.

Once bought, you can rent it out but in my Aunt's case she chose to live in it.

Edited- wtbhotia is part correct, you pay the difference on market value if you sell on the 'cheap purchase' or rent it out for profit, however if you meet another set conditions after purchase...i think its after 5 years (correct me if im wrong?) then you can sell or rent without reimbursing gov the diff.

[Gruntfuttock]

the 1st year is fixed but the 2nd year is optional, either party can give 1 or 2 months notice depending what was agreed at signing of contract

A contract can say pretty much anything. That might be what yours says, but that is irrelevant. It is what the OP's says that is key.

[benbecker]

Thanks everyone! The contract does say that either party can break lease after 1 year (the end of this month), so it looks like I'm in a tough position. I realize there's some controversy as to whether my landlord can legally rent the apartment, but I'm not going to question him on that, because then I'll loose the apartment either way! He does want to raise the rent considerably, so I'm going to have a talk with him. And I guess it wouldn't hurt to start looking at other apartments.